BP reports record $28billion profits as millions struggle with higher energy bills

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BP has been slammed after announcing a $28billion profit despite millions struggling with higher energy bills.

The firm has recorded the highest profits made in its 114-year history at $28billion (£23billion).

BP has recorded record profits for 2022

This is nearly double the profit BP made the year before, which was $12.8bn.

Profit more than doubled BP last year as it benefited from runaway gas prices caused by the war in Ukraine.

The company said that it would invest an additional $8billion (£6.6billion) each in the energy transition, and in oil and gas.

Political and environmental campaigners criticised the profit jump as “sickening”.

Nick Dearden, director of Global Justice Now, said: “It’s high time governments mandated fossil fuel companies to start paying up for their role in the climate crisis, starting with these enormous profits announced today.”

While Friends of the Earth said BP’s profits “will be yet more salt in the wound for millions of people who’ve struggled to afford to stay warm and well this winter”.

The profits come as UK households are facing higher energy bills in April when the Energy Price Guarantee increases to £3,000.

Energy prices have soared in recent months following the invasion of Ukraine, resulting in massive profits for energy companies.

The BP profits come as Shell also recorded the highest profit made in its 115-year history at $40billion (£32bn) – nearly $110million a day.

The oil and gas company posted profits of $9.81bn in the final quarter of last year, compared with $6.4bn a year in 2021.

That took annual adjusted profits to $39.87bn in 2022, a huge increase on the $19.3bn notched up in 2021.

The figure represents one of the highest profits ever recorded by a UK company.

What to do if you’re struggling

There is financial support available for hard-up households.

Millions of off-grid households can now get up to £200 as another form of energy bill support through the Alternative Fuel Payment (AFP).

Those who are eligible will have had the £200 yesterday whilst businesses who are off the grid will get a separate £150 on March 10.

To be off the gas grid means you don’t use mains gas.

That means you’ll only get the cash if you warm your home using alternative energy sources such as heating oil, biomass and liquefied petroleum gas (LPG).

For example, there’s the £400 payment which has been split into six monthly instalments.

Payments have been made since October, and the final payment will be made in March.

For the majority of energy customers, their monthly bills are automatically discounted.

However, households with traditional pre-payment meters are being sent vouchers to redeem at their nearest top-up point instead.

Also, millions on benefits are in line for up to £1,350 in free cash from spring.

The help is aimed to help soften the blow of high energy bills, food costs and other necessities.

The first chunk of the £900 cost of living payment will be paid directly into claimants’ accounts.

Unlike last year’s help, this cost of living payment will be paid in three, not two, instalments.

More than eight million people will get the help directly to their bank accounts, and the £900 help will be paid over the financial year.

And don’t forget to keep checking your local council for the Household Support Fund scheme.

Do you have a money problem that needs sorting? Get in touch by emailing [email protected]